Answer:
Explanation:
Current liabilities refer to obligations due within one year or less.
The classification is as follows:
a. A note payable for $100,000 due in 2 years. = Not classified as a current liability, as it is due in 2 years and classified as long-term liability.
b. A 10-year mortgage of $300,000 to be paid in ten annual payments of $30,000. = Only the first payment is a current liability; the rest are long-term liabilities.
c. An interest payment of $15,000 on the mortgage. = This is a current liability since it is due within one year.
d. Accounts payable of $60,000. = This is also a current liability because it is due within one year.
Current liabilities are recorded on the liability side of the balance sheet.
Factors of production are inputs utilized to create goods or commodities. They include resources necessary for a business to generate profit by manufacturing products, categorized into four types: land, labor, capital, and entrepreneurship.
Answer:
c) Providing a discount for students and seniors.
Explanation:
Price discrimination occurs when a seller charges different prices for the same product to varying customers. It is typically employed to capitalize on consumer surplus.
When a chocolatier identifies a buyer group willing to pay less, they can focus on this demographic and provide them with a lower payment option.
In this scenario, offering discounts to students and seniors indicates that the chocolatier has recognized these groups as customers likely to purchase chocolates for less than $20.
Answer:
e) $23.89
Explanation:
To find the present value of Canine Crates shares today, based on a return rate of 13%, we must first compute the annual value derived from dividends over three years as follows
D1= The yearly dividend x 2 ( Canine Crates intends to double the dividend each year for three years
D1= $0.45 x 2 = $0.9D2= $0.90 x 2 = $1.80
D3= $1.80 x 2 = $3.60
Subsequently, we calculate the stock’s value by summing the present values of each year's dividends.
This is founded on the following formula
Dividend per year / (1+r)∧n
= Dividend per year
r = required rate
n= period
Stock value = $0.9 / (1.13) + $1.80 / (1.13)∧2 + $3.60/ (1.13)∧3
Final stock valuation = $23.89
